Prospect Theory, Loss Aversion
The Leap or Stay
The Leap or Stay is a Prospect Theory and Loss Aversion scenario illustrating Your brain weights the possible loss of the known roughly twice as heavily as the gain of the new. A recruiter calls with an offer: 25% more money, a clearer path to the role you actually want, but longer hours and an unknown team. Your current job is safe, familiar, and 'fine.' The offer expires in five days. DecisionPlay maps the players, payoffs, and equilibrium dynamics that shape how this situation typically resolves.
Frequently Asked Questions
- What game theory model does this scenario illustrate?
- The Leap or Stay illustrates Prospect Theory, Loss Aversion. Your brain weights the possible loss of the known roughly twice as heavily as the gain of the new.
- What is the Nash equilibrium?
- DecisionPlay computes equilibria using best-response iteration and support enumeration. See the interactive analysis for this scenario.
- Is this based on a real situation?
- Yes. DecisionPlay's library is drawn from real-world conflicts, negotiations, and decisions.
- How accurate is the analysis?
- DecisionPlay uses a deterministic game-theoretic core with an LLM-based classifier. Verify edge cases against the structural module.
- Do I need an account?
- No. DecisionPlay is free and requires no login.